4 days ENE/UCGI
- People involved in unconventional gas project analysis.
- To make investment decision related to unconventional gas projects.
- Upon completion of the course, the participants will be able to:
- understand the characteristics of shale, tight and coal bed methane,
- describe the steps, technologies and costs to develop an unconventional gas project,
- understand the importance of the concept and calculation of net present value and internal rate of return in decision making,
- introduce to the economic evaluation of unconventional gas play,
- compare and evaluate unconventional gas developments,
- appreciate the impact of the learning curve on the profitability,
- locate the unconventional gas resources and what are the situation and the challenges country per country,
- define the impact of unconventional gas on price formulae and the markets unbalance,
- identify the impact of unconventional gas on economies and industries,
- identify the main unconventional gas contractors and operators and it strategy,
- describe the environmental risks related to the production of unconventional gas.
- No prerequisites for this course.
Ways and means
- Game on the unconventional exploration and production technics.
- Unconventional gas project analysis, sensitivity study and decision analysis.
- Hedging strategy.
UNCONVENTIONAL GAS CHARACTERISTICS 0.2 day
- Conventional and unconventional gas (shale gas, tight gas, coal bed methane, hydrates).
- Resources & reserves.
UPSTREAM STEPS, TECHNICS & COSTS 0.8 day
- Geology, permit negotiation & geophysics.
- Identification & site preparation.
- Directional & horizontal drilling.
- Hydraulic Fracture Stimulation & Micro-seismic Fracture Mapping.
ECONOMIC ANALYSIS & INVESTMENT DECISION 2 days
- Production profile characteristics (Arps Equation and EUR).
- Associated products value.
- Economic variables associated with shale gas developments (F&D, Drilling, Fracking, T&F, LOE).
- Fiscal impact (Concession, PSA).
- Economic Evaluation Criteria.
- Shale gas project cash flow analysis.
- Impact of the learning curve on the profitability.
- Hedging strategy (price, currency, toll fees).
- Financing issues & needs.
- Financing solutions (M&A, PE, MLP, FI/FO).
- Introduction to risk analysis (sensitivity analysis, decision tree & Monte Carlo analysis).
ECONOMIC & STRATEGIC IMPACT OF UNCONVENTIONAL GAS REVOLUTION 0.75 day
- Panorama of unconventional gas developments: North & Latin America, Europe, Africa & Middle East, Asia Pacific.
- Unconventional gas market (contractors and size of the market).
- Strategy of the O&G companies (small and big independents, IOC, NOC).
- Impact on the gas trades and gas price.
- Indirect impacts on energy prices (oil price, coal price).
- Economic impact on industries and government budgets (focus on petrochemicals, refining, and exporting and importing economies).
ENVIRONMENTAL IMPACT & ISSUES 0.25 day
- Environmental issues
- Water consumption, water treatment & waste issues.
- Surface footprint & noise.
- Greenhouse gas emissions.
- Seismic events.
- The protagonists of the debate & their communication strategy
- The pro (O&G producers and contractors, organization, energy consumers).
- The cons (environmental & anti-globalization associations, renewable industry, some consumers).